Columbia Gas Transmission LLC

Third Revised Volume No. 1

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Effective Date: 03/03/2009, Docket: RP09-340-000, Status: Effective

Original Sheet No. 129 Original Sheet No. 129





(g) On any Day in which Shipper's unauthorized withdrawals from storage exceed 103 percent of its

applicable MDWQ, as described in Section 4(b) of this Rate Schedule, Shipper shall pay Transporter a penalty

based on a price per Dth equal to three times the midpoint of the range of prices reported for "Columbia Gas,

Appalachia" as published in Platts Gas Daily price survey for all quantities withdrawn in excess of 103

percent of its MDWQ, provided Transporter shall reduce penalties under this provision to the extent Shipper

may pay penalties under Service Agreements under other Rate Schedules for the same quantities.


(h) If Shipper: (i) violates an operational flow order issued by Transporter to withdraw

quantities; (ii) fails to withdraw the minimum monthly withdrawal quantity as described in Section 4(c) of

this Rate Schedule; or (iii) carries over quantities beyond April 1 in excess of the 25% of a Shipper's SCQ

limitation set forth in Section 4(d) of this Rate Schedule, any such quantities automatically shall be

forfeited by Shipper to Transporter, free and clear of all liens and encumbrances. Transporter shall post

such forfeited quantities on its EBB as gas available for sale to the highest bidder within a 24 hour notice

period. Such posting may provide as a condition of sale that such gas be withdrawn from storage within a

period of time to be specified in the notice. Upon receipt of payment, Transporter shall treat the forfeited

gas proceeds as Penalty Revenues as defined in Section 19.6 of the General Terms and Conditions.


(i) All penalties and charges assessed under this Section shall be assessed and paid in addition to

all applicable storage rates and charges under this Rate Schedule, including any overrun charges.


(j) In the event Shipper seeks to avoid any penalty provided for in this Section on the ground that such

charge was incurred because of a force majeure event as defined in Section 15 (Force Majeure) of the General

Terms and Conditions, Shipper shall document such force majeure event to Transporter. Transporter shall waive

penalties to the extent that it determines that the imbalance was caused by a bona fide force majeure event as

defined in said Section 15.


(k) Transporter may waive its right to collect all or any portion of penalties assessed against

Shipper or its right to retain all or any portion of Shipper's gas, provided that any such waiver is granted

in a nondiscriminatory manner.




All of the General Terms and Conditions are applicable to this Rate Schedule and are hereby made a part

hereof, with the exception of Sections 11, 19.1, 19.2, and 19.4, 33, 34, 36 through 41, and 44 through 46.